Toyota Kirloskar Motor (TKM) announced on Monday that it will construct a new vehicle manufacturing plant in the Bidkin Industrial Area of Maharashtra, India. The facility is planned to begin production in the first half of 2029, with an initial capacity of 100,000 vehicles per year.
The plant will employ approximately 2,800 workers at the time of launch and will cover the full range of core automotive manufacturing processes, including stamping, welding, painting, and assembly. The first model designated for production is a new SUV, though further specifications about the vehicle have not been disclosed. In addition to serving domestic demand, TKM indicated that the facility will supply vehicles to customers in regions surrounding India, suggesting an export role for the new plant from the outset.
Toyota Kirloskar Motor is a joint venture between Toyota Motor Corporation of Japan, which holds an 89% stake, and Kirloskar Systems Limited of India, which holds the remaining 11%. The partnership has operated in India for nearly three decades, with TKM describing its growth in the market as one that has developed alongside the pioneers who helped establish India's automotive industry, and from whom the company says it received significant early support and learning.
The company currently operates two manufacturing plants, both located in Bidadi, Karnataka. The first plant was established in October 1997 and has been in production since December 1999. It manufactures several of Toyota's widely sold models in India, including the Innova HyCross, Innova Crysta, Fortuner, and Legender, with an installed capacity of up to 132,000 units per year. The second plant, which began production in December 2010 and is located on the same Bidadi site, produces the Camry Hybrid, Urban Cruiser Hyryder, and Hilux, with a capacity of up to 210,000 units annually. Together, TKM's two existing facilities carry a combined installed production capacity of up to 342,000 units per year and employ 6,466 permanent staff across a total land area of approximately 432 acres.
Beyond its locally manufactured lineup, TKM also sells models sourced through other arrangements. The Glanza, Rumion, and Urban Cruiser Taisor are other Toyota models available in the Indian market, while the Vellfire and Land Cruiser 300 are imported as completely built units. The breadth of this portfolio reflects the company's efforts to cover multiple segments of the Indian market, from mass-market hatchbacks to premium SUVs.
The choice of Maharashtra for the new plant is notable. The Bidkin Industrial Area, where the facility will be located, is part of the Delhi-Mumbai Industrial Corridor, a large-scale infrastructure development project intended to boost manufacturing and industrial activity across several Indian states. Maharashtra is already home to significant automotive manufacturing activity, with several global and domestic carmakers operating plants in the state.
India has become one of the most strategically important markets for global automakers. The country surpassed Japan to become the third-largest vehicle market in the world in 2023, trailing only China and the United States, and has maintained strong growth momentum. Demand for SUVs in particular has risen sharply over the past decade, reshaping the product strategies of nearly every automaker operating in the country. Several manufacturers have announced or completed capacity expansions in India in recent years, seeking to reduce reliance on imports and respond more quickly to shifting consumer preferences.
In its announcement, Toyota described the new plant as a means of reinforcing its production infrastructure to allow for a flexible response to future demand growth and market changes in India and the surrounding region. The company also stated its intent to continue contributing to the development of India's automotive industry and the communities in which it operates, with the support of stakeholders at various levels.
No total capital investment figure was disclosed in the announcement. Further details about the SUV model to be produced at the new facility are also yet to be released.